§ 54. The insurance contract. 1. Right of recourse to the insurance\ncarrier. Every policy of insurance covering the liability of the\nemployer for compensation shall be issued by one or more stock\ncompanies, mutual corporations or reciprocal insurers authorized to\ntransact workers' compensation insurance in this state. In the case of a\npolicy with multiple insurers, such insurers shall share one hundred\npercent of the liabilities by subscription, and one of the insurers\nshall serve as the lead insurer for notice and cancellation purposes.\nSuch a policy shall contain a provision setting forth the right of the\nchair to enforce in the name of the people of the state of New York for\nthe benefit of the person entitled to the compensation insured by the\npolicy either by filing a separate application or by making the\ninsurance carrier a party to the original application, the liability of\nthe insurance carrier in whole or in part for the payment of such\ncompensation; provided, however, that payment in whole or in part of\nsuch compensation by either the employer or the insurance carrier shall\nto the extent thereof be a bar to the recovery against the other of the\namount so paid.\n 2. Knowledge and jurisdiction of the employer extended to cover the\ninsurance carrier. Every such policy shall contain a provision that, as\nbetween the employee and the insurance carrier, the notice to or\nknowledge of the occurrence of the injury on the part of the employer\nshall be deemed notice or knowledge, as the case may be, on the part of\nthe insurance carrier, or if more than one insurer, the lead carrier;\nthat jurisdiction of the employer shall, for the purpose of this\nchapter, be jurisdiction of the lead insurance carrier and that such\ninsurance carrier shall in all things be bound by and subject to the\norders, findings, decisions or awards rendered against the employer for\nthe payment of compensation under the provisions of this chapter.\n 3. Insolvency of employer does not release the insurance carrier.\nEvery such policy shall contain a provision to the effect that the\ninsolvency or bankruptcy of the employer shall not relieve the insurance\ncarrier from the payment of compensation for injuries or death sustained\nby an employee during the life of such policy.\n 4. Limitation of indemnity agreements. Every contract or agreement of\nan employer the purpose of which is to indemnify him from loss or damage\non account of the injury of an employee by accidental means, or on\naccount of the negligence of such employer or his officer, agent or\nservant, shall be absolutely void unless it shall also cover liability\nfor the payment of the compensation and for the payment into the special\nfunds provided for by this chapter. Every such contract or agreement of\ninsurance issued by an insurance carrier covering the liability of an\nemployer for the payment of the compensation and for the payment into\nthe special funds provided by this chapter shall be deemed to include\nall employees of the employer employed at or in connection with the\nbusiness of the employer carried on, maintained, or operated at the\nlocation or locations set forth in such contract or agreement and\nemployees for whose injuries a contractor may become liable under the\nprovisions of section fifty-six of this chapter. Any employee or\nemployees or class of employees not enumerated in section three,\nsubdivision one, group one to seventeen inclusive, of this chapter,\nemployed by a municipal corporation or political subdivision of the\nstate, may by the terms of the contract or agreement be expressly\nexcluded therefrom.\n 5. (a) Cancellation and termination of insurance contracts. No\ncontract of insurance issued by an insurance carrier against liability\narising under this chapter shall be cancelled within the time limited in\nsuch contract for its expiration unless notice is given as required by\nthis section. When cancellation is due to non-payment of
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